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Chicken price drops due to oversupply

Jumat, 24 Maret 2017 / 20:09 WIB

Chicken price drops due to oversupply

JAKARTA. Chicken meat prices have continued to drop since late January because of oversupply, causing poultry businesspeople to suffer losses.

On Thursday, the price of chicken meat was Rp 11,000 (83 US cents) to Rp 13,000 per kilogram.

People’s Poultry Association (Pinsar) Hartono said the condition was caused by an oversupply of grand parent stock (GPS) since 2015.

“Our calculation in 2014 showed that we needed only 500,000 GPS per year, but imports in 2015 reached 700,000 GPS. So the oversupply was caused by the condition in 2015,” said Hartono as reported by on Friday.

He explained that because of the oversupply of GPS, there was also an oversupply of day old chicks (DOCs).

He said the production of DOCs reached about 62 million per week, while demand was only about 50 million DOCs per week.

He said poultry businesspeople had been demanding that the government reduce GPS imports since 2014, but the government argued that reducing imports would lead to a shortage of GPS.

Meanwhile, Association of National Poultry Organizations secretary-general Sugeng Wahyudi said the cost of farming chickens was Rp 17,000 per kilogram. Therefore, with the current condition, farmers suffered losses of at least Rp 5,000 per kilogram.

Sumber : The Jakarta Post
Editor: Barratut Taqiyyah Rafie


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